Search Recharge

LOG IN TO Recharge

Log in or start a trial to access this article

UK infrastructure watchdog to probe onshore wind lock-out

The UK’s infrastructure watchdog has flagged up fears that Britain is unnecessarily missing out on low-cost renewable energy because of onshore wind’s lock-out from the contract-for-difference (CfD) support mechanism.

The role of onshore wind is high on the energy agenda in the UK, where the government on Thursday unveiled a wide-ranging Clean Growth Strategy that put offshore wind centre-stage as far as renewables are concerned.

Onshore wind barely featured in the strategy document – although there was a concession to projects on Scotland’s remote islands, which will now be able to compete in the next round of CfD auctions in 2019.

The wider onshore sector remains locked out of the CfD process. However, pressure is growing on UK ministers to find a route to market for a source that can rapidly deliver large volumes of low-carbon power that can be competitive with new gas, and the industry hopes a government-led review of energy costs currently underway will help its case.

The UK’s National Infrastructure Commission (NIC), which advises the British government on infrastructure priorities, entered the fray on Friday when a major report on future priorities said the body “will be considering whether there are unnecessary barriers in place preventing the deployment of onshore wind, one of the cheapest renewable technologies”.

It added: “Onshore wind farms create some costs for local communities. Planning requirements in England already include specific additional hurdles that onshore wind projects have to meet, to ensure community acceptability.

“However, unlike offshore wind, the benefits of onshore wind are not being recognised through access to subsidies,” said the NIC.

Norwegian utility Statkraft this week said it “fully expects” onshore wind to feature in future UK auctions as it formed a development partnership in Scotland.

Statkraft has linked with local player Airvolution Clean Energy to identify a project pipeline of up to 300MW.

Statkraft UK managing director David Flood said: “We believe the future of onshore wind in the United Kingdom to be very positive, and fully expect the UK government to grasp the opportunity for further onshore wind development through future CfD auctions.

“This can deliver known volumes of the most cost-effective generation technology available in suitable locations, while giving investors certainty and facilitating low cost of capital.”

Premium subscription at less than $5 per business day!

Stay tuned with our free daily newsletter

Be in the know of the most important headline every day

UK infrastructure watchdog to probe onshore wind lock-out

The UK’s infrastructure watchdog has flagged up fears that Britain is unnecessarily missing out on low-cost renewable energy because of onshore wind’s lock-out from the contract-for-difference (CfD) support mechanism.

The role of onshore wind is high on the energy agenda in the UK, where the government on Thursday unveiled a wide-ranging Clean Growth Strategy that put offshore wind centre-stage as far as renewables are concerned.

Onshore wind barely featured in the strategy document – although there was a concession to projects on Scotland’s remote islands, which will now be able to compete in the next round of CfD auctions in 2019.

The wider onshore sector remains locked out of the CfD process. However, pressure is growing on UK ministers to find a route to market for a source that can rapidly deliver large volumes of low-carbon power that can be competitive with new gas, and the industry hopes a government-led review of energy costs currently underway will help its case.

The UK’s National Infrastructure Commission (NIC), which advises the British government on infrastructure priorities, entered the fray on Friday when a major report on future priorities said the body “will be considering whether there are unnecessary barriers in place preventing the deployment of onshore wind, one of the cheapest renewable technologies”.

It added: “Onshore wind farms create some costs for local communities. Planning requirements in England already include specific additional hurdles that onshore wind projects have to meet, to ensure community acceptability.

“However, unlike offshore wind, the benefits of onshore wind are not being recognised through access to subsidies,” said the NIC.

Norwegian utility Statkraft this week said it “fully expects” onshore wind to feature in future UK auctions as it formed a development partnership in Scotland.

Statkraft has linked with local player Airvolution Clean Energy to identify a project pipeline of up to 300MW.

Statkraft UK managing director David Flood said: “We believe the future of onshore wind in the United Kingdom to be very positive, and fully expect the UK government to grasp the opportunity for further onshore wind development through future CfD auctions.

“This can deliver known volumes of the most cost-effective generation technology available in suitable locations, while giving investors certainty and facilitating low cost of capital.”